Microsoft built supercomputer to help OpenAI infringe copyrights, NYT alleged

In a recent court filing that has raised eyebrows, The New York Times (NYT) is seeking to amend its copyright infringement lawsuit against both OpenAI and Microsoft. The publication alleges that Microsoft played a significant role in encouraging OpenAI to utilize its copyrighted materials by creating a powerful supercomputing system, which is among the most advanced globally. This legal maneuver follows a Supreme Court decision favoring Cox Communications, which set a new benchmark for contributory infringement. In that case, Sony's attempt to hold Cox accountable for music piracy was rejected, establishing that plaintiffs must now demonstrate intentional inducement of illegal behavior by defendants. In light of this shift, NYT aims to align its claims against Microsoft with the updated legal framework. Graham James, a spokesperson for NYT, stated, "Today, we asked the court for permission to file an amended complaint that further strengthens our case, clarifying our claim of contributory infringement against Microsoft based on new law and new evidence uncovered during discovery." Moreover, NYT has decided to voluntarily withdraw two other claims related to contributory copyright infringement and trademark dilution against all involved parties. In response, a Microsoft representative characterized the amended complaint as a desperate attempt by NYT to salvage its case in light of recent unfavorable legal precedents. Despite this, NYT maintains that amending the complaint would not disadvantage either Microsoft or OpenAI. The publication argues that it is reasonable for plaintiffs to adjust their legal arguments to reflect changes in legal standards, asserting that the timeline of the case would not be delayed since it does not seek further discovery to support its amended claims. James emphasized, "As we have long alleged, Microsoft actively encouraged OpenAI to steal our copyrighted works. Beyond amending that claim and streamlining the case to its most potent arguments, our core claims remain the same from the day we filed this lawsuit—that Microsoft and OpenAI stole millions of The Times’s copyrighted works to compete with our products and illegally enrich themselves."